Overview of the conservation need/opportunity

The Büyük Menderes River Basin is ecologically significant, supporting 804 plant species, including 30 endemics, and providing habitat for migratory birds and marine fish. It contains 34 fish species, 19 of which are endemic. However, industrial pollution, primarily from the textile sector, threatens its biodiversity.

The region accounts for 50% of Turkey’s textile exports and is a key agricultural producer, contributing 20% of the country’s olives, 13% of its cotton, and 65% of its figs. Traditional conservation efforts have been ineffective in mitigating industrial pollution. Textile production is a major water consumer, using between 95 and 400 litres per kilogram of fabric. Wastewater contains hazardous substances, including heavy metals, absorbable organic halogens (AOX), and volatile organic compounds (VOCs).

Dyeing processes contribute significantly to pollution. Dyes inhibit photosynthesis and introduce toxic elements, while sulfur-based reducing agents increase chemical oxygen demand (COD) and harm aquatic life. Large quantities of salts, carriers, and other chemical additives further degrade water quality.

Describing how the blueprint contributes to conservation goals

The blueprint aims to improve freshwater and delta biodiversity by incentivising garment factories to adopt cleaner production techniques. Apparel brands provide purchase guarantees to factories that reduce pollution.

Expected outcomes include improved river water quality, increased populations of key species, enhanced profitability for garment manufacturers and cotton farmers, and greater supply chain sustainability. Job security is also expected to improve due to long-term environmental compliance.

The business model

Multiple stakeholders are involved. WWF coordinates activities and engages local and international actors. Garment factories and cotton growers conduct feasibility studies to assess cost savings and environmental benefits. Apparel brands promote cleaner production by supporting supplier engagement. Local authorities assist implementation by enforcing environmental regulations and providing SME grants. Commercial banks supply loans for process improvements.

The initiative results in garments produced with lower water and chemical use, reducing pollution and sustaining the river ecosystem.

Cash flows and commercial sustainability

Factories finance improvements through commercial loans, increasing efficiency and compliance while generating cost savings. Investments are expected to be recouped within 48 months. Loan amounts range from $90,000 to $200,000. Estimated annual cost savings per factory are $200,000, translating to $10 million across 50 factories.

Replicability of business model

River pollution from garment manufacturing is a global issue. This model can be replicated in other textile-producing regions and in industries with similar environmental impacts.

External dependencies

Regulatory frameworks are critical for success. Turkey has introduced cleaner production policies, but enforcement has been inconsistent. Stronger regulatory oversight would support long-term compliance.

Risk management

Financial risk is managed through purchase guarantees from brands, reducing loan default risks. Development finance institutions provide bank guarantees to encourage lending. Garment factory facilities serve as loan collateral.

The investment model

Debt financing is used, with commercial loans funding process improvements. Factories have invested €6.5 million in cleaner production. Grants of $10,000 to $20,000 from apparel brands and WWF support feasibility studies.

Loan repayment terms typically span 48 months. Increased profitability enables factories to repay loans, while banks generate returns through interest payments.

The exit strategy employed

Banks remain involved for loan periods of up to 48 months, with potential extensions for defaults. Conservation benefits persist due to ongoing brand and regulatory requirements. WWF and other organisations continue monitoring to ensure sustained improvements.

Innovative features of the investment model

The blueprint aligns conservation goals with commercial interests by integrating supply chain actors at the river basin level. Brand involvement ensures long-term demand for sustainably produced textiles, while pooled feasibility funding lowers entry barriers for factories.

The model leverages ‘grey infrastructure’—process improvements in textile production—to preserve ‘green infrastructure,’ securing the future of cotton farming and garment manufacturing.

Replicability and scalability

WWF is exploring replication in textile hubs in India, Pakistan, Myanmar, and China. The model can be applied to other industries where river pollution is a concern. Key success factors include engaged stakeholders, feasibility funding, and financial institutions willing to support cleaner production investments.

The approach can also be adapted to mitigate flood risks by incentivising land-use changes that improve water retention.